Refugee Flow: A Law and Economics Approach

Abstract

This research analyses refugee flow through a law and economics lens. This study offers a short historical overview of the creation of the United Nations High Commissioner for Refugees by examining some of these events utilizing law and economics methods. In addition, a law and economics model is applied, based on the idea that refugees, as well as national states, might aim to maximize their net benefits. Some of the most important variables that impact the refugee decisionmaking process are then explored as well as the most important "push" factors that impact lawmakers in enacting and modifying refugee laws (e.g. protection of national security and the safeguarding of the national job market). Afterwards, the 1951 Convention Relating to the Status of Refugees is discussed, delving into the main factors for its ratification and compliance by national parliaments. Then brought forth is a study of the economic advantages and disadvantages of a centralized supernational asylum law (acquis communautaire) that may result in the elimination of competition between legal orders in refugee law and the removal of negative externalities caused by "asylum shopping". To reach the goal established in Article 5 of the Treaty on European Union, the need for harmonization of asylum standards is examined through the application of an economic approach. Specifically, the economic methodology is used to investigate the application of the subsidiarity principle by considering some of the most important economic criteria for both centralisation and decentralisation and by applying the findings to the asylum law. To sum up, international refugee law will be critically analysed through an interdisciplinary approach. The principal goal is to explore the "demand" and "supply" of the "refugee law market" through the lens of the law and economics approach but with the context of human rights.